XRP Struggles with Bearish Sentiment Despite Ripple Legal Hopes, DOGE Faces Death Cross as Bitcoin’s Market Dominance Surges
While the broader cryptocurrency market has found temporary stability, traders remain hesitant about altcoins like XRP, shifting their focus toward Bitcoin (BTC), which continues to assert its dominance.
XRP, the digital asset used by Ripple for cross-border transactions, has climbed over 3% in the past 24 hours to reach $2.24. The surge comes amid renewed optimism that Ripple’s prolonged legal battle with the U.S. Securities and Exchange Commission (SEC) may be nearing a resolution.
Despite the price increase, market data suggests lingering bearish sentiment. Open interest in XRP perpetual futures remains steady at approximately 1.35 billion XRP, while both annualized funding rates and cumulative volume delta (CVD) remain negative, according to data from Velo.
A negative funding rate indicates that traders holding short positions are paying fees to maintain their bets, highlighting a bearish bias in the market. Additionally, negative CVD reflects that selling pressure continues to exceed buying activity, raising concerns about the sustainability of XRP’s recent gains.
Given these indicators, traders remain uncertain about XRP’s ability to maintain upward momentum. Several other major altcoins, including DOGE, SOL, SUI, HBAR, LTC, BTC, TRX, and HYPE, also show negative CVDs over the last 24 hours, reflecting broader market caution.
DOGE Nears Death Cross, Signaling Potential Further Decline
Dogecoin (DOGE) is approaching a critical technical pattern known as the “death cross,” where its 50-day simple moving average (SMA) is about to cross below the 200-day SMA. This formation is often seen as a bearish signal, indicating that short-term momentum is weakening against the long-term trend.
Trend-following traders closely watch these crossovers, and once confirmed, the death cross could bring additional selling pressure to DOGE. However, since SMA crossovers are lagging indicators, they primarily reflect past price action rather than guarantee future movements.
DOGE has already fallen 65% from its December peak of $0.48, reinforcing concerns about continued downside risk.
Bitcoin’s Dominance Reaches 62.5%, Highest Since 2021
Bitcoin’s dominance—the metric that measures BTC’s share of the total cryptocurrency market capitalization—has climbed to 62.5%, marking its highest level since March 2021, according to TradingView.
Since December, when the crypto market cap briefly surpassed $3.6 trillion, BTC’s dominance has grown from 55% to over 62%, signaling that investors are gravitating toward Bitcoin amid ongoing market uncertainty.
This rising BTC dominance reflects a defensive approach among traders, who are favoring Bitcoin’s relative stability over the volatility of altcoins. As altcoins struggle to gain traction, Bitcoin continues to assert itself as the primary asset of choice in the current market environment.
